1. Field of the Invention
This invention relates to systems and methods for electronic commerce and, more particularly, for facilitating the electronic purchasing of postal money orders from remote locations, using a form of payment other than cash, printing the money order and placing it in the mail stream.
2. Description of the Related Art
One of the most popular methods of payment for goods, services and debts is the money order, particularly the postal money order, which is backed by the unquestionable creditworthiness of the United States Postal Service. The recipient of a money order has the assurance that there are funds available for collection, thereby making the money order virtually equivalent to cash. By contrast, a conventional check must first be deposited and routed, typically, through the Federal Reserve Clearing House System for collection. Several days may elapse, during which, the creditor is unsure whether the maker of the check has adequate funds to cover the instrument. Ultimately, if the check is returned for insufficient funds, the creditor may have to pursue time consuming and expensive legal remedies in order to receive payment.
Conventionally, when a customer wishes to purchase a postal money order, an on-site visit to a U.S. Postal Service (“USPS”) post office is required. Since post offices are generally not open around the clock, a postal patron may wait several days before his or her schedule permits personally visiting the post office to make the purchase. In addition, payment for money orders other than as a cash transaction, such as by credit card, is not permitted under current USPS rules for at least two reasons. First, there is a probability of fraud when using a credit card. In some instances, a person could use a stolen credit card thus making the USPS liable for the money order. Second, the discount rate for using a credit card can be in some instances two percent of the amount of purchase. Thus, if a $700.00 money order is purchased, it would cost the USPS $14.00 in processing fees, whereas the fee for the money order typically is significantly less than two percent. Thus, a customer may have to first visit a bank or ATM machine to obtain the required cash, thus delaying the process even further. Money orders typically are employed for payment of debts, to pay for merchandise ordered, or to remit payments to parties who are reluctant to accept conventional checks for a variety of reasons. Obviously, the more expeditiously a money order is purchased and mailed, the more beneficial it is to all parties involved. Accordingly, the ability to purchase a money order from remote locations without the use of cash and have it enter the mail stream in a near real time basis, provides numerous advantages.